European Shares Seen Up On Asian Cues

European stocks may follow their Asian peers higher on Friday even as U.S. President Donald Trump struggles to seal the Republican healthcare bill amid a lack of support for the legislation.

While the bill’s success would be a major positive for Trump, who is struggling with controversy over alleged links to Russia and record low popularity ratings, failure to pass the bill will cast a lot of doubt on the Trump trades. The bill is now rescheduled for Friday.

Asian stocks are mostly higher after U.S stocks ended largely unchanged overnight despite delay in house vote on Trump’s replacement healthcare plan and mixed economic reports on housing and labor market.

The Japanese yen weakened and oil prices edged up on a report suggesting a fall in Saudi exports to the United States in March, while gold drifted lower against a backdrop of a rising dollar.

Meanwhile, according to survey figures from IHS Markit and Knight Frank, British households perceived that the value of their homes increased again in March. The House Price Sentiment index came in at 57.5, the same reading as in February.

Looking ahead, flash purchasing managers’ survey results from the euro area, final GDP data from France for the fourth quarter of 2016 and mortgage approvals figures from the UK are slated for release later in the day.

Across the Atlantic, trading sentiment may be swayed by developments on Capitol Hill, durable goods orders data for February and speeches by several Federal Reserve officials.

European markets moved higher on Thursday ahead of the delayed vote on healthcare reform in the U.S. Congress. The pan-European STOXX 600 index rose 0.9 percent following losses in the previous three sessions.

The German DAX rallied 1.1 percent, France’s CAC 40 index gained 0.8 percent and the U.K.’s FTSE 100 added 0.2 percent.

by RTT Staff Writer

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